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University of Pittsburgh Clinical Study to Test Antibody Therapy for Patients With Severe Ulcerative Colitis

PITTSBURGH, PA -- (MARKET WIRE) -- March 27, 2006 -- University of Pittsburgh School of Medicine
researchers announced today the start of a global clinical trial evaluating
an antibody therapy that could potentially delay the need for surgery for
patients with severe ulcerative colitis (UC) that no longer responds to
standard medical therapies. The University of Pittsburgh School of Medicine
was the first institution to enroll a patient into this clinical trial.

Ulcerative colitis is a chronic disease of the colon, or large intestine,
and is marked by inflammation and ulceration of the colon mucosa, or
innermost lining, which can cause diarrhea, pain and bleeding. In severe
cases, individuals may have diarrhea 10 to 20 times a day, which may lead
to dehydration, fever, hospitalization and blood transfusions.

Participants in the study, which is sponsored by PDL BioPharma, Inc., will
receive visilizumab, a monoclonal antibody that is designed to target and
block the action of T cells, the same cells believed to cause UC, with the
aim of significantly reducing the symptoms of UC and potentially delaying
the need for colectomy, or surgical removal of the colon.

"More than one million people worldwide suffer from ulcerative colitis,
which primarily affects women and men in their 30s, but can occur at any
age," said Scott E. Plevy, M.D., an associate professor of medicine in the
Division of Gastroenterology, Hepatology and Nutrition at the University of
Pittsburgh School of Medicine. "An estimated 25 to 40 percent of these
patients eventually fail to respond to oral and intravenous steroids, and
their only treatment option is invasive surgery to remove their colon." Dr.
Plevy also is a co-director of the Inflammatory Bowel Disease Center and a
member of the department of immunology.

The University of Pittsburgh Medical Center (UPMC) is one of 75 centers
worldwide participating in the Phase 2/3 clinical study, which is
evaluating the safety and effectiveness of visilizumab for the treatment of
intravenous steroid-refractory UC. During the clinical study, patients will
receive two intravenous injections of either the study drug or placebo. The
second injection will be delivered the day immediately following the first
injection. Patients will be assessed for reduction of clinical symptoms by
the Mayo Score and healing of their colonic mucosa as determined by lack of
ulcerations, bleeding and friability, and monitored at regularly scheduled
intervals for up to 36 months.

In an earlier clinical study, the most common adverse events observed in
patients treated with visilizumab were transient fever, chills, headache,
nausea, vomiting, fatigue and body aches on the days of drug
administration.

Patients who respond to therapy but subsequently experience a worsening of
UC symptoms may be eligible to enroll in the visilizumab retreatment study
that also has been initiated at the University of Pittsburgh School of
Medicine.

"The definitive treatment for ulcerative colitis is colectomy, which has
significant consequences including the devastating impact of the surgery on
a patient's quality of life, and post-surgical complications that
frequently arise, such as small bowel obstructions, leakage, abscesses and
inflammation, " said Dr. Plevy. "We are studying visilizumab to determine
if it may delay or prevent colectomy for some patients with fulminant
ulcerative colitis refractory to intravenous steroids."

The study, called RESTORE 1, is open to individuals who are 18 years and
older, have been diagnosed with UC, and have active disease despite
corticosteroid therapy. Study medication will be provided to all qualified
study participants at no cost. Individuals who fit the criteria and are
interested in participating can call 1-800-772-0482 or visit
www.RestoreTrial.com.

About PDL BioPharma, Inc.

PDL BioPharma, Inc. (NASDAQ: PDLI) is a biopharmaceutical company focused
on the research, development and commercialization of novel therapies for
inflammation and autoimmune diseases, acute cardiac conditions and cancer.

About the University of Pittsburgh Medical Center

The University of Pittsburgh Medical Center is the largest integrated
health care delivery system in Pennsylvania and one of the leading
nonprofit medical centers in the country. The 40,000-employee organization
is the largest employer in western Pennsylvania. UPMC is consistently
ranked among the nation's top hospitals by U.S. News & World Report, and
the University of Pittsburgh and affiliated programs attract more than $375
million annually in National Institutes of Health (NIH) funding, ranking
the academic medical center seventh in the nation in 2004.